Key takeaways
- Flat 1% cashback is simple and pays on everything.
- Category cards pay more on some spending but less on the rest.
- Check minimums, caps and annual fees.
- FX fees can wipe out cashback on foreign spending.
The main types of rewards
| Type | Examples | Best for |
|---|---|---|
| Flat cashback | Venn (1% on all spend), Ramp (1% in Canada) | Simple, steady rewards on everything |
| Category cashback | Scotia Momentum for business Visa (up to 3% on categories, C$79 fee), BMO CashBack Business Mastercard (up to 1.75%) | Heavy spend in a few categories |
| Threshold cashback | Float (1% above C$25,000 a month) | Higher monthly spend |
| Points | Amex Business Gold Rewards (C$199 fee) | Travel and flexible rewards |
A worked example
A business spends C$30,000 a month on cards.
- Flat 1%: about C$3,600 a year, with no annual fee on Venn or Ramp.
- Category card: more on the categories it covers, less on everything else, minus the annual fee.
- If C$5,000 a month is in USD on a card charging 2.5% FX, that’s about C$1,500 a year in fees, more than the cashback on that spend.
How to get the most back
- Put routine spending on the card that pays on everything.
- Use a multi-currency card for foreign spending to avoid FX fees.
- Check whether cashback has a minimum spend or monthly cap.
- Add up annual fees before comparing headline rates.
Providers that can help
1% cashback on all spend, no annual fee
1% cashback for established companies
Up to 1.75% cashback, no annual fee
FAQs
What is the best cashback business card in Canada?
It depends on your spending. Flat 1% cards such as Venn and Ramp suit most businesses; category cards can pay more if most of your spend falls in their categories.
Is cashback on business cards taxable?
Cashback on business spending is generally treated as a reduction of the expense rather than income, but ask your accountant how it applies to your business.
Do corporate cards with cashback charge annual fees?
Some do and some don’t. Venn and Ramp have no annual fee; Scotia Momentum for business charges C$79 and Amex Business Gold Rewards charges C$199.
Should I use one card or several?
One flat-rate card keeps things simple. Some businesses add a category card for big spending categories, as long as the extra rewards beat its annual fee.
Sources: Published card terms from Venn, Ramp, Scotiabank, BMO, Float and American Express.